$UNH (UnitedHealth Group Incorporated)

$UNH 1Q15 10-Q: At 1Q15-end, cash and cash equivalents were $8,650MM, up 15.41% from $7,495MM at 1Q14-end. In March 2015, UNH entered into an agreement to acquire Catamaran for $12.8Bil in cash, expected to close during the 4Q15. Revenues: Consolidated increased 13%; UnitedHealthcare increased 12% and Optum increased 15%.

Optum, part of $UNH, and $ABCO's health care business will combine. The BoD of $ABCO unanimously approved the merger agreement and has recommended that its stockholders adopt the merger agreement. The merger is expected to close by the end of 2017 or in early 2018. The transaction is expected to be neutral to $UNH's EPS in the first year.

Diversified healthcare provider $UNH's Board has authorized cash dividends for its shareholders. The company's shareholders will receive $0.75 per share, which will be paid on September 19. Cut-off date for dividend payment is September 8.

Healthcare provider $UNH announced changes in its leadership team. Effective September 1, David Wichmann who is currently donning the role of President will take over as CEO of the company. Current CEO Stephen will be taking the newly created role of Executive Chairman, while current Chairman Richard Burke will become lead independent director.

$UNH announced that Valerie Montgomery Rice and Sir Andrew Witty have joined its BoD. Rice is the President of the Morehouse School of Medicine, a medical school in Atlanta, Georgia, while Witty was CEO and a board member of GlaxoSmithKline plc.

Optum, health insurance giant $UNH's business unit, announced that Patty Horoho is joining the firm. Patty would be focused on providing Optum's holistic service to defense members, veterans and their families. Horoho was the first woman and the first nurse to hold the position of Army Surgeon General and headed the US Army Medical Command.

In Optum segment, $UNH is focusing on three key areas for growth; strong sales pipeline of $40Bil, growing YTD sales and backlog. On MedicareAdvantage, the company expects to outperform the market in 2018 with a positive long-term outlook for the industry. $UNH also feels that the return of insurer's fee will be the single largest headwind in 2018.

Despite forgoing over $1.8Bil in revenues due to the withdrawal from the ACA individual insurance market and the health insurance tax moratorium, $UNH revenues increased nearly 9% to $40.8Bil. Health insurer also announced that the partnership with AARP will continue through at least 2025 to offer Medicare related products under AARP brand.

Health insurance giant $UNH said it served 2.5MM more people in 2Q17 vs. 2Q16, excluding the individual market. The business model of the insurer is focused on addressing the healthcare needs of consumers in areas like group Medicare Advantage, Medicaid programs in emerging markets like Brazil and established markets.

$UNH expects its stellar performance in first half to carry forward in the second half of 2017 and into 2018. On a global basis, the insurer serves 139MM people, including 126MM in the United States. UnitedHealth believes it is on target to exceed the $200Bil mark in 2017 for the first time.

$UNH, the largest health insurer in US, reported stellar
results in 2Q17 backed by the growth from its Optum segment. The insurance
giant raised its 2017 outlook. $UNH now expects its 2017 GAAP EPS to be
$9.20-9.35 and adjusted EPS to be $9.75-9.90. UnitedHealth is the first firm in
its industry to report earnings every quarter.

$UNH announced 700 new jobs are coming to Ohio. $UNH is hiring
for new positions over the next two years to support care providers and
individuals nationwide who are enrolled in $UNH plans. The 700 new employees
will work out of a newly renovated space in Dublin, which will re-open in
September, with the capacity to house up to 1,000 employees.

$UNH's BoD authorized payment of a cash dividend of $0.75 per share, to be paid on June 27, 2017, to all shareholders of record as of June 19, 2017. This dividend represents a 20% increase over the quarterly dividend of $0.625 per share the company paid in 2Q16.

Regarding Surgical Care Affiliates (SCA) and OptumCare markets, $UNH said about 17 of the current OptumCare primary care markets overlap with SCA locations. The company added that SCA has about 17 markets where OptumCare is not positioned. OptumCare business, which specializes in primary and urgent care, plans to combine with SCA in a $2.3Bil deal.

$UNH's 1Q17 medical care ratio of 82.4% increased 70 basis points year-over-year, impacted by a 150 basis point increase from the health insurance tax moratorium offset by reduced levels of individual ACA business and other factors. Medical cost reserves developed favorably by $450MM in 1Q17, up from $360MM last year.

$UNH lifted its 2017 revenue outlook to about $200Bil from $197-199Bil. The company raised its EPS guidance to $9.10-9.30 from $8.75-9.05 and its adjusted EPS estimate to $9.65-9.85 from $9.30-9.60. $UNH now predicts cash flow from operations of about $12Bil compared to prior forecast of $11.5-12Bil.

$UNH reported a jump in 1Q17 earnings driven by higher revenue as well as its focus on quality and consistency continues to strengthen its business. Net income rose to $2.17Bil or $2.23 per share from $1.61Bil or $1.67 per share last year. Revenue grew to $48.72Bil from $44.53Bil. Adjusted EPS increased to $2.37 from $1.81.